v2.4.1.9
SEGMENT REPORTING
 12 Months Ended
Dec. 31, 2014
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
NOTE 19. SEGMENT REPORTING
 
The Company defined reportable segments according to ASC Topic 280. The segments, including corn division, grain division and bulk trading division, are identified primarily based on the structure of allocating resources and assessing performance of the group.
 
The corn division is in the business of purchasing corn from farmers, simple processing and distributing to agricultural product trading companies through wholesale. The business of the grain division is conducted by processing and distributing grains and other products. The business of the bulk trading division is conducted by bulk purchasing and the sale of raw grain.
  
For the year ended
 
Corn
 
Grain
 
Bulk
Trading
 
 
 
 
December 31, 2014
 
Division
 
Division
 
Division
 
Others
 
Total
 
Revenues from external customers
 
$
75,263,798
 
$
33,399,849
 
$
1,013,573
 
 
 
 
$
109,677,220
 
Loss on inventory valuation reserve
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Intersegment revenues
 
 
-
 
 
-
 
 
-
 
 
-
 
 
-
 
Interest revenue
 
 
3,298
 
 
2,498
 
 
275
 
 
192
 
 
6,263
 
Interest expense
 
 
(424,795)
 
 
(357,939)
 
 
-
 
 
(826)
 
 
(783,560)
 
Net interest (expense) income
 
 
(421,497)
 
 
(355,441)
 
 
275
 
 
(635)
 
 
(777,297)
 
Depreciation and amortization
 
 
(576,927)
 
 
(1,376,640)
 
 
(5,235)
 
 
(215,246)
 
 
(2,174,048)
 
Noncontrolling interest
 
 
-
 
 
-
 
 
-
 
 
1,039
 
 
1,039
 
Segment net profit (loss)
 
 
(13,512,424)
 
 
(424,133)
 
 
(472,859)
 
 
(2,529,471)
 
 
(16,938,887)
 
 
 
For the year ended
 
Corn
 
Grain
 
Bulk Trading
 
 
 
 
December 31, 2013
 
Division
 
Division
 
Division
 
Others
 
Total
 
Revenues from external customers
 
$
142,560,749
 
$
41,637,805
 
$
62,151,550
 
 
-
 
$
246,350,104
 
Loss on inventory valuation reserve
 
 
(4,391,580)
 
 
(86,594)
 
 
-
 
 
-
 
 
(4,478,174)
 
Intersegment revenues
 
 
-
 
 
-
 
 
-
 
 
-
 
 
-
 
Interest revenue
 
 
8,773
 
 
2,844
 
 
6,869
 
 
16,707
 
 
35,193
 
Interest expense
 
 
(425,773)
 
 
(316,831)
 
 
(47,834)
 
 
-
 
 
(790,438)
 
Net interest (expense) income
 
 
(417,000)
 
 
(313,987)
 
 
(40,965)
 
 
16,707
 
 
(755,245)
 
Depreciation and amortization
 
 
(533,709)
 
 
(1,718,252)
 
 
(4,202)
 
 
(110,058)
 
 
(2,366,221)
 
Noncontrolling interest
 
 
-
 
 
-
 
 
-
 
 
4,160
 
 
4,160
 
Segment net profit (loss)
 
 
(11,316,324)
 
 
(2,614,032)
 
 
(64,083)
 
 
(12,349,498)
 
 
(26,343,937)
 
 
Since April 2014, our grain business includes direct exporting the organic bean-based products to countries including the U.S., Australia, Canada, Israel, and Denmark. The export businesses were denominated in US Dollar. All long-lived assets are located in China. The following tables set forth our three major customers in each segment:
 
 
 
For the Nine Months Ended
 
 
 
December 31,
 
 
 
2014
 
 
2013
 
Corn Division :
 
 
 
 
 
 
 
 
Guangdong Wen‘s poultry Co., Ltd.
 
 
5.4
%
 
 
0.8
%
Chengdu Zhengda Co., Ltd.
 
 
4.7
%
 
 
3.3
%
ShuangliuZhengda Co., Ltd.
 
 
4.4
%
 
 
2.3
%
Top Three Customers as % of Total Gross Sales:
 
 
14.5
%
 
 
6.5
%
 
 
 
 
 
 
 
 
 
Grain Division :
 
 
 
 
 
 
 
 
Deyufang Innovation Food (Beijing) Co., Ltd.
 
 
64.6
%
 
 
53.3
%
Ethical Food SA
 
 
12.9
%
 
 
0.0
%
JingzhongShengde Grain Trading Co., Ltd.
 
 
3.0
%
 
 
0.0
%
Top Three Customers as % of Total Gross Sales
 
 
80.5
%
 
 
53.3
%
 
 
 
 
 
 
 
 
 
Bulk Trading Division :
 
 
 
 
 
 
 
 
Shanxi Helifeihua Trading Co., Ltd.
 
 
27.8
%
 
 
12.7
%
Shenzhen XinJiawang Agricultural By-products development Co. Ltd.
 
 
14.6
%
 
 
4.2
%
Yuchi Kaiwang Grain and Oil Wholesale Department
 
 
10.9
%
 
 
4.5
%
Top Three Customers as % of Total Gross Sales:
 
 
53.4
%
 
 
21.4
%